Entering Existing Properties and Mortgages of Applicant

The Properties Owned By Applicant section on the Applicant Details screen is to add details of any existing properties and mortgages the applicant or applicant pair have. Doing so will also update the Assets and Liabilities section respectively.

Refinance Note:  If the Application Purpose is a Refinance type, a selected Subject Property checkbox is displayed in this section. This indicates that this section mirrors the Subject Property Information section of the Application Edit screen. Changing a field in one section also changes its equivalent field in the other section.

Adding an Existing Property

Adding a Mortgage on an Existing Property

Adding an Existing Property

To add an existing property owned by the applicant(s), complete the following steps:

 

  1. Click the Add Property button. The screen refreshes to display the fields of the Properties Owned by Applicant section.


     

  2. From the Occupancy dropdown, select how the existing property is being used:

    Owner-Occupied     (select this option if the applicants currently live in the property).  
    Owner-Occupied and Rental
    Rental
    Second Home
     

  3. To copy the applicant's current address (from Address section) into the address fields of this section, click the copy/paste icon (). Otherwise enter the address details manually.

    Tip: Use the Address Lookup field to search, find and pre-fill the address of the property.
     

  4. Enter the value of the property in the Property Value field. The Assets section is updated with this property and value. Enter the Original Value and Purchase Date.
     

  5. Enter the Annual Taxes, Total Condo Fees (if any) and Heating. If the heating is included in the condo fees, check the Fees Incl. Heat checkbox.
     

  6. To include the property taxes, condo fees, and heat in the TDS calculation, select (check) the Include in TDS calculation checkbox.

    Refinance Note:     If the Application Purpose is a Refinance type, the Include in TDS calculation checkbox must be checked (selected).
     

  7. If Rental or Owner-Occupied Rental is selected in the Occupancy dropdown, then complete the following fields:

    Rental Income
    Rental Expense     fields (Hydro, Mgmt, Repairs, Other, Insurance, Interest)
    Rental Income Options     - if a portion of the rent is used as income, you have the following options:

 

None - no rental income is added to the applicant's gross income. The TDS calculation is not affected.

Add Percentage to Gross Income - adds a percentage of the rental income to the applicant's gross income. Enter the percentage in the Inclusion/Offset field. This income is included in the TDS calculation.

Reduce Rental expense, add balance to gross income - deducts total expenses (including mortgage payment, taxes, condo fees and heating costs) from the rental income, and from the remaining rental income, a percentage is added to the applicant's gross income. Enter the percentage in the Inclusion/Offset field. This income is included in the TDS calculation.
 

  1. If the property is to be sold, then the proceeds from the sale can be included as a down payment for the new mortgage. In the Proceeds from Sales field, enter the amount that is to be applied to the down payment. Then click the Create Down Payment button to enter this amount in the Down Payment section of the Application Edit screen.

    Refinance Note:      If the Application Purpose is a Refinance type, a portion of the equity on the existing property can be used to create a down payment for a new mortgage. In the Property Equity field, enter the amount that is to be used for the down payment. Then click the Create Down Payment button to enter this amount in the Down Payment section of the Application Edit screen.
     

  2. Click the Save button. At the bottom of the screen, the Total Property Value, Total Expenses, Rental Income  (if any), and Rental Expenses (if any) fields are filled with the associated values.



     

Adding a Mortgage on an Existing Property

If there is any mortgage remaining on the existing property, it must be added. Complete the following steps.
 

  1. Click the Add Mortgage button. The screen refreshes to display the fields of the Mortgage Information subsection.

    Refinance Note:     If the Application Purpose is a Refinance type, additional fields are available in the subsection to enter the original mortgage amount and number. Click here to view.


     

  2. Complete the necessary fields. When Payment is entered, this amount is copied as a liability in the Liabilities section. This amount is also included in the TDS calculation.
     

  3. Click the Save button. At the bottom of the screen, the Total Mortgages and Mortgage Payments fields are filled with the associated values.